LG Readies US Smartphone Push with T-Mobile

South Korean handset maker LG Electronics Inc. is making a renewed push into the U.S. smartphone market by teaming up with T-Mobile, in its attempt to regain its long-lost market share in the U.S.

LG, the world’s fifth-largest cellphone maker by shipments, this week released a new Android-based smartphone called Optimus L9. It has a 4.5-inch screen, a speedier dual-core mobile processor and supports fourth-generation wireless technology. The phone runs on Google’s Ice Cream Sandwich OS. The phone also features what it calls ‘QTranslator,’ which recognizes 44 languages and automatically translates words and phrases into 64 different languages when users place their cameras on them.

LG or T-Mobile haven’t disclosed the pricing of the smartphone.

Andrew Morrison, vice president of product management at T-Mobile USA said in a statement the smartphone will be available with T-Mobile’s unlimited nationwide 4G data plan.

LG, once known in the industry for its Prada and Chocolate phones, has lost momentum in smartphones as it failed to come up quickly with compelling handsets to compete with Apple’s iPhone and Samsung’s Galaxy smartphones. In North America, its share of the handset market fell to 14.2% in the first half of this year from 21% in 2009, according to market research firm Strategy Analytics. Its handset business is still mired in losses – in the second quarter, it posted an operating loss margin of 2.6%.

But analysts say the partnership with T-Mobile may pay off later this year.

“LG’s smartphone line-up has improved a lot over the past years. The latest smartphone may help its handset division return to a profit in the fourth quarter of this year,” said Sophia Kim, an analyst at LIG Investment & Securities.

LG declined to comment on its earnings. The company is scheduled to release third-quarter results on Oct. 24.

LG last month rolled out its high-end smartphone, Optimus G, in South Korea. It plans to sell the smartphone in Japan later this month and in the U.S. and other regions in November.